Which of the Following Statements Does Not Properly Describe the Accrual

Multiple Choice

Which of the following statements does not properly describe the accrual basis of accounting?

A) Expenses are recognized when incurred regardless of the timing of cash flows.
B) Revenues are recognized when earned regardless of the timing of cash flows.
C) Generally accepted accounting principles require use of the accrual basis.
D) It should not be used when providing financial statements to external decision makers.